Imagine a scenario where a major cocoa supplier fails to deliver over 333,000 tonnes of cocoa, leaving buyers in the lurch and sparking a financial crisis. This is exactly what happened to Ghana’s COCOBOD in the 2023/2024 season, marking an unprecedented failure in its history. But here's where it gets even more intriguing: the cocoa had already been sold at a fraction of the surging global prices, locking the organization into a costly predicament.
Dr. Randy Abbey, CEO of the Ghana Cocoa Board (COCOBOD), revealed in a candid interview on Channel One TV on February 9, 2026, that the board was unable to fulfill contracts totaling 333,767 tonnes of cocoa. These contracts, sold at an average price of around US$2,600 per tonne, could not be delivered as promised. What makes this situation particularly dire is that global cocoa prices had skyrocketed to between US$9,000 and US$12,000 per tonne during this period.
And this is the part most people miss: COCOBOD was forced to roll over these undelivered contracts into subsequent seasons at the original, much lower price, creating a severe financial strain. To honor these older contracts, the board had to use cocoa purchased at the higher market rates, resulting in substantial losses. For instance, every tonne used to fulfill these contracts incurred a shortfall of approximately US$500—a staggering figure when multiplied by over 333,000 tonnes.
The crisis deepened when COCOBOD’s syndicated loan arrangement collapsed during the 2023/2024 season, further limiting its financial flexibility. Efforts to secure financing for the 2024/2025 season were equally futile, as banks declined to respond to the board’s requests for proposals, citing doubts about cocoa supply reliability. This led to another rollover of the contracts at the original US$2,600 per tonne, exacerbating the financial burden.
Dr. Abbey highlighted another layer of complexity: the producer price paid to farmers during this period was approximately US$3,100 per tonne, exceeding the contract price by about US$500 per tonne. “We even ended up making losses because the producer price paid to farmers was US$3,100,” he noted, underscoring the double-edged challenge of supporting farmers while navigating financial losses.
Despite managing to clear nearly two-thirds of the outstanding contracts (approximately 235,000 tonnes) within the first year, the scale of the problem remains daunting. The undelivered cocoa represents more than half of Ghana’s estimated annual production of 600,000 tonnes, leaving COCOBOD in a precarious position.
But here’s the controversial question: Could this crisis have been avoided with better foresight or financial planning? Or is it a symptom of larger systemic issues in the global cocoa market? Dr. Abbey’s revelations invite a deeper discussion on the sustainability of cocoa production and the financial mechanisms supporting it.
As COCOBOD grapples with this monumental challenge, one thing is clear: the road to recovery will be long and fraught with difficulty. What do you think? Is this a wake-up call for the industry, or an isolated incident? Share your thoughts in the comments below—let’s spark a conversation that could shape the future of cocoa trade.
